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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB2301
Introduced 1/12/2006, by Sen. William R. Haine SYNOPSIS AS INTRODUCED:
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Amends the Illinois Insurance Code. Provides that financial institutions and officers and employees of the institution are not required to become licensed under the Code in order to offer a line of insurance that is excluded from the definition of insurance if the line of insurance is offered in relation to the financial institution's banking business. Effective immediately.
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A BILL FOR
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SB2301 |
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LRB094 17545 LJB 52841 b |
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| AN ACT concerning insurance.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Insurance Code is amended by |
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| changing Section 1403 as follows:
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| (215 ILCS 5/1403)
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| Sec. 1403. Licensure requirements for financial |
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| institutions.
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| (a) A financial institution transacting insurance business |
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| in this State
shall register with the Director pursuant to the |
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| Illinois Insurance Code and
shall be subject to the laws, |
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| rules, and penalties of the Illinois Insurance
Code.
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| (b) The solicitation and sale of insurance by a financial |
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| institution
shall be conducted only by individuals who have |
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| been issued and maintain an
insurance producer's license |
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| pursuant to the Illinois Insurance Code and shall
be subject to |
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| the laws, rules, and penalties of the Illinois Insurance Code.
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| (c) For the purposes of this Section, a "financial |
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| institution" means the
subsidiary of a financial institution |
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| when the financial institution is
transacting insurance |
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| business in this State only through the subsidiary. For
the |
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| purposes of Section 499.1 of the Illinois Insurance Code, a |
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| financial
institution shall be deemed to be a corporation. |
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| (d) Nothing in this Article or in any other law of this |
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| State shall be construed to require a financial institution or |
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| the officers or employees of the institution to become licensed |
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| pursuant to this Code in order to offer any line of insurance |
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| that is excluded from the definition of insurance, as defined |
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| by Section 1402 of this Article, if that line of insurance is |
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| offered in relation to the financial institution's banking |
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| business.
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| (Source: P.A. 90-41, eff. 10-1-97.)
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